XaiJu
Alikurai
Alikurai

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An update on sales tax

Hi everyone! I got an email from Patreon  about sales tax, that I want you to know about. Basically, when I from  Europe pledge to patreon or buy anything from any online store, there's a  small fee that i need to pay on top of that, it's VAT, sales tax, and  while it can be annoying, it's literally unavoidable because capitalism.  Below you will see an explanation provided by patreon that I think is very  good at explaining this, but also here's a disclaimer from me, I will do  everything in my power to lessen this effect on you! From what I  understood, patreon is giving us creators a tool to customize exacly  what you are paying for and how much, and with it's help, the tax you  eventually will have to pay, unless completely unavoidable, will be very  small ^_^ anyway, please read the text below! And thank you so much for  your continued support, especially during these times.

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Due  to new laws passing in several countries and US states, Patreon will be  required to start charging sales tax on some pledges starting July 1st.  

Less than half of all patrons will be charged sales tax, and  for most, the amount will be very small. For example, sales tax rates in  the US range from 4% to 11%, so on a $5 pledge, that would be between  20 cents and 55 cents.

Whether or not you will be charged sales  tax depends on your location, and what is considered taxable there. Not  every pledge is taxable, not all benefits are taxable in every location,  and sometimes only a fraction of a pledge will be taxable. The money  that Patreon collects as a result of these laws are paid directly to  local governments.

I’m working closely with Patreon to ensure I’m  able to save you as much money as possible when it comes to sales tax -  which is not something that’s possible with other platforms.

If  you’re in a location where sales tax will be required, you should expect  to receive an email from Patreon with more information about this very  soon, but I wanted to make sure you were aware of these changes way  ahead of July 1st when they go into effect.  

Comments

Thank you for giving us the info! 😊

Nai


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